A 280-unit luxury multifamily community located in the foothills of the Santa Susana Mountains in Chatsworth sold for $107 million.
Institutional Property Advisors, a subsidiary of Calabasas-based leading commercial real estate brokerage firm Marcus & Millichap, closed the deal on the asset, which is called Summerset Village.
“Well maintained by an institutional owner for over 25 years, Summerset Village is one of only 10 multifamily properties with 200 units or more in the Northwest San Fernando Valley built since 1980,” Kevin Green, executive managing director of Institutional Property Advisors, or IPA, said in a statement.
The sale price comes down to roughly $381,000 per unit.
“The submarket has experienced 25% rent growth over the last 24 months while maintaining occupancy over 96%,” Green said.
Green and IPA’s Joseph Grabiec and Gregory Harris represented the seller and procured the institutional buyer in the sale.
“Chatsworth is greatly undersupplied with luxury housing communities of 50 units or more,” Grabiec said. “Because of this scarcity, large value-add assets like Summerset Village tend to thrive after renovation.”
The undisclosed institutional investor plans to do a substantial renovation on the property.
Completed in 1986, Summerset Village has 39 two-story residential buildings, two solar-heated swimming pools, two hot tubs, a beach volleyball court and direct access to hiking trails.
The village is near multiple retail centers in the valley, including The Vineyards at Porter Ranch, Northridge Fashion Center, Westfield Topanga and Warner Marketplace.
Chatsworth is home to more than 22 million square feet of office, industrial and flex space, and there is a surplus of nearby jobs, according to Institutional Property Advisors.
The division has closed on a number of transactions this year, including South Hills West Covina, an 85-unit property in West Covina; Alivia, a 128-unit property in Whittier; Terramonte at La Verne, a 48-unit property in La Verne; Terramonte at Foothill, a 138-unit property in Pomona; Haven Warner Center, a 205-unit property in Warner Center; Scoutt off Sunset, a 136-unit property in Hollywood; and 1185 Myra Ave., a 20-unit property in Silver Lake.